AEC TO BRING SINGLE-MARKET BENEFITS

       Full integration of the Asean Economic Community in 2015 will boost revenue within the single market by 5.3 per cent, or US$69 billion (Bt2.33 trillion), a new study by the Office of the AseanSecretariat indicates.
       Successful integration will also help attract more foreign direct investment(FDI) into the region through single-market benefits. FDI to all Asean countries will grow by 28-63 per cent, or $117 billion to $267 billion, from its 2006 value.
       AEC integration in 2015 will see liberalisation of investment and trade in goods and services. Overall, growth in the gross domestic product of Asean countries will increase 0.5-1 per cent annually.
       Trade Negotiations Department director-general Nuntawan Sakuntanaga said Thai producers, particularly small and medium-sized enterprises, would also reap benefits in the form of lower production costs, a larger trading market, flexibility of cross-border labour and lower tariff barriers.
       "The AEC will enhance Asean's attractiveness among foreign investors, because they will have a larger trading market and a single set of rules and regulations," she said.
       Asean will also have greater bargaining power in international talks.
       She said integration would also promote development of the trade-facilitation system: customs procedures, logistics and product standards.
       Garments, autos and auto parts, healthcare and computers will benefit greatly, but Thai Farm products will continue to face challenges from lower production costs in neighbouring countries, Nuntawan said.
       To ensure Thai enterprises fully benefit from the AEC, her department has designed a programme to drvelop their efficiency and teach them how to take maximum advantage of membership.
       The programme will be completed next February, after which Thai enterprises can gradually prepare for market integration before 2015, Nuntawan said.